Clients Case Study: Reducing Time To Quota
VitalWorks, with annual revenue in excess of $250 million during the period we worked with them, provided practice management solutions to radiologists and anesthesiologists. A major frustration for them was the time it took for new reps to reach quota level performance. The extended time to quota resulted in lost sales and increased costs, thereby reducing profitability.
Their existing training program for new reps was conducted by internal staff from various departments who were not experts in skills development or best practices in sales. Because training was not their primary responsibility, the program was relegated to a lower priority. As a result, training efforts were not coordinated, most notably in terms of strategy and materials. The program focused was on product features and technology, with little attention paid to sales skills and how to execute in the field. Training sessions were often delayed, as staff had to attend to other duties, and instructor skills were highly varied.
To help address this problem, VitalWorks engaged us to develop and implement a standardized new hire training program for sales reps. We reviewed the existing program, conducted extensive interviews with all affected departments, familiarized ourselves with their offerings and industry, and interviewed some of their customers. We then worked with management to reach agreement on strategy, identify the program resource requirements, and assign project sub-tasks.
We worked with their staff to develop a two part program, each four days in length, that was unified in terms of curriculum materials and approach. Working with their product managers and marketing personnel to develop the content, the first session covered product knowledge and market intelligence. We conducted the initial sessions of this program with VitalWorks staff so that we could further develop their instructional skills and refine the material. The second session covered sales strategy and skills development. Using custom materials based on their products and services, the second session included several activites to gain experience in execution.
Working with VitalWorks for four years produced numerous positive results. The sales training component was so well received in the organization that it was expanded to personnel from the marketing and services departments. As a result, they developed a common strategy and language throughout the revenue organization. With a deeper understanding of buying behavior and how to initiate buying cycles, the number of leads from marketing campaigns that were converted to sales was increased by 20%. As a result of improved discovery skills, upselling and cross-selling by services personnel increased by almost 25%.
And as for the issue that prompted this engagement, time to quota for new reps was reduced by two months.
"We engaged Paul to help with our new hires. His program reduced the time my new reps took to reach quota by two months, having a dramatic positive impact on our revenue. Unexpectedly, the benefits we gained from Paul's program spread throughout our entire organization. Marketing and services, in addition to sales, all saw significant improvements. Maybe most important, it put all of us on the same page. Interdepartmental conflicts were reduced and our overall effectiveness improved dramatically." John Sedlacek, Vice President of Sales
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